NCTA to FCC: Stay MDU Contract Decision
National Cable & Telecommunications Association: Federal Communications Commission Had No Right to Invalidate Existing Contracts Between Cable Companies, Multiple-Dwelling Units
By John Eggerton -- Broadcasting & Cable, 12/11/2007 4:29:00 PM
The National Cable & Telecommunications Association Tuesday asked the Federal Communications Commission to stay its decision to invalidate existing contracts between cable companies and multiple-dwelling units and threatened to seek a stay in a Federal Appeals Court if the FCC did not agree to do so.
The NCTA gave the FCC until Dec. 21 before it would seek the court stay, saying that the commission has no authority to prohibit the enforcement of contracts between cable operators and MDUs. The FCC decided to apply the prohibition to existing as well as future contracts.
The FCC claimed that it had the authority, and chairman Kevin Martin said the move would create more competition and provide lower prices and more choice for apartment dwellers, many of whom are minorities.
In fact, he pitched the plan to a minority media conference as one of the items that benefit them.
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